The Peering Advocacy and Advancement Centre in Africa (PAACA) has urged the Federal Government to postpone the proposed 15 per cent import tariff on petrol and diesel, warning that immediate implementation could spike pump prices and worsen economic hardship.

Speaking in Abuja, PAACA Executive Director, Ezenwa Nwagwu, said domestic refining capacity is not yet sufficient to meet national demand, making the tariff premature.

“Domestic refining currently covers less than half of national demand. Forcing importers out of the market will create scarcity and drive prices higher,” Nwagwu said.

He explained that imported petrol lands at roughly N802 per litre, while locally refined products, such as those from Dangote Refinery, cost about N929.72 per litre. Introducing a 15% tariff could increase pump prices by N140–N165 per litre, affecting transportation, food, and essential goods.

Nwagwu stressed that the Dangote Refinery supplies about 40 per cent of national fuel needs and still imports components for blending, emphasizing that restricting imports now would not stabilize supply but create shortages.

He called for transparency in refinery supply agreements and suggested that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) publish monthly refinery output, import volumes, and landing costs. PAACA also recommended creating a downstream competition framework under the Petroleum Industry Act and establishing an energy market monitoring unit to prevent cartels.

“True energy security requires multiple suppliers. Government policies must prioritize citizens’ welfare, not protect a single player,” Nwagwu added.